Gold Markets Give Up Early Gains
Gold markets initially tried to rally during the trading session on Tuesday but found the 50 day EMA a bit difficult. If we can break above that level, I do believe that this market probably has further to go to the upside and could very well take off towards the $1832 level where the gap would be filled. A break above that level would obviously be very bullish, but at this point time I find it difficult to imagine a scenario where that happens easily. Because of this, I am very cautious about putting money to work, as I think we could very well be stuck with some type of short-term consolidation pattern than any type of feasible bigger move.
Gold Price Predictions Video 02.02.22
The US dollar and interest rates in America both will have their part of play in this market, so pay close attention to what they are doing. If they are both rising, that is a very negative sign for gold and could be toxic enough to send it much lower. With that in mind, I would be paying close attention to both markets, because quite frankly they are interchangeable at this moment in time from a diametrically opposed point of view. Has there is a lot of risk out there, traders simply will not hang onto anything for a significant amount of time, because quite frankly it is too difficult to. The gold market does tend to be very fickle, so pay close attention to that. Furthermore, we have three central banks meeting this week, although the RBA is already out of the way.
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